SMM Morning Review - 2011/11/17 Lead Market

SHANGHAI, Nov. 17 (SMM) – LME lead prices overnight opened at USD 2,023/mt. Later, as US dollar index fluctuated up to touch 78.47, a new high since October 10, LME lead prices moved down below USD 2,000/mt, hitting the USD 1,988/mt low, but gained support at 30-day moving average. At the tail of trading, LME lead went up slightly and retook early losses, with prices closing at USD 2,036/mt, up USD 31/mt, or 1.56%. Before the closing of US stocks, Fitch Ratings said a worsening European debt crisis is a “serious risk” to U.S. banks, it is believed that cautious sentiment will again dominate the market, and LME lead prices will test USD 2,000/mt repeatedly.

The US dollar index moved up to touch 78.47 and finally closed at 78.39.

SHFE lead prices should move between RMB 15,200-15,600/mt, and domestic spot prices should be RMB 15,250-15,450/mt on Thursday.